Dominating sales, an azure sea of turquoise jewelry has been flooding the streets this past season. Western flair makes turquoise a must-have accessory to the best-selling prairie blouses and denim bottoms maintaining favor into 2003.

Renewed interest in funky jewelry couldn't be better news for specialty accessories retailers. Dependent on the category, they were hardest hit by its former stagnation.

The jewel of vertical accessories specialty, Claire's Stores, found itself in decline into 2002 after years of consistently positive comps. At first it seemed another casualty of the economy, until sales started uptrending after the jewelry resurgence. "Jewelry is probably the best category I have right now," says Carol Norman, executive vice president at The Icing by Claire's, Claire's Stores' retail division aimed at customers age 16 to 26.

"Fashion jewelry is up 25 percent, bigger than fine jewelry: It's a top accessory category," says Carol Gatzke, director of merchandising for silver and fashion jewelry at HSN. The retailer is reintroducing Sarah Coventry jewelry to the market under license, expanding its successful assortment of jewelry brands, including Susan Lucci.

Many vendors that had dropped jewelry altogether are re-entering production because of current strength. Select Marketing is even entering the market for the first time, producing an exclusive line of Nicole Miller jewelry for QVC that will debut Aug. 16. "This is a new venture for us in both Nicole and QVC, based on how the category is trending," says Hal Markowitz, Select's ceo.

This jewelry revival is particularly explosive because it's hooking misses' customers. Past looks, such as illusion necklaces and tattoo jewelry, sold in juniors, but had limited success piquing more mature customers' interest.

As a result, Accessorize is in perfect position for further expansion, since it's focused on customers up through age 45. "The category certainly is expanding into everything that we could have hoped," says Diane Demeroutis, merchandise manager at Accessorize, a successful U.K. chain imported last year by Charming Shoppes in a joint venture with Monsoon LLC.

There's little doubt jewelry will keep performing next spring, but what looks will dominate sales? Unquestionably, turquoise is No. 1 across jewelry subclassifications. "I think turquoise is probably the strongest I have ever seen it, after 20 years in the business," adds Gatzke.

"We've had a huge increase, driven by turquoise and shells into spring--everyone keeps reordering and reordering. Fashion jewelry is continuing to drive growth, in the $30 to $40 range," says vice president Julie Jones at Miami-based Erica Lyons Jewelry, which supplies jewelry to such retailers as Proffitts, Chico's, Stein Mart and Coldwater Creek.

While misses customers keep adding to their accessory collections, turquoise sales are tapering off at the juniors specialty level. "Turquoise is pretty much done," says Jeannetta Bagley, marketing director at Fantas-Eyes, which supplies jewelry to Limited, Charlotte Russe, Hot Topic, Mandee and Gadzooks.

Interest at specialty varies, but turquoise is apparently hitting its stride at mass. Silver and fashion turquoise are strong aspects of business for 2003, according to Craig Chorney, corporate fashion director for Accessory Network, which supplies the discount channel.

Meanwhile, the overarching trend at specialty across fashion jewelry is bohemian. Anything with a handcrafted look, made of natural or organic-looking materials is a safe bet for 2003. "Anything a little ethnic and a little chunky has got retail clout," affirms Demeroutis.

Already, fashion coral and carnelian are getting consumers spending. Next year, vendors are throwing neutral-toned stones into the mix, along with faux amber, bone and ivory, giving assortments that salable Serengeti flavor. Tiger's eye and mother-of-pearl also are trends, mixed with hippie hemp and brown suede. Jones sees painted shell--with '70s motifs, such as butterflies--as wampum.

"Beads of all sizes, pendants and ethnic pieces with inspiration from the American Southwest, Morocco and India all influence the season's jewelry," says Betina Wasserman, merchandiser at H&M.

Specialty buyers are stocking up, confident in life after turquoise. "The percent jump in business has been dramatic in jewelry for 2003 because of the naturals. There are finally a lot of really fresh, different looks, getting away from rhinestones," says Bagley.

Metal is playing second fiddle to these materials, in sales and assortments, after years of clean silvertone and an ill-fated flirtation with goldtone. It will be downplayed at such stores as H&M, Claire's and Accessorize. "We are selling lots of burnished metal jewelry as opposed to gold or shiny silver," says Marc Faham, president of My Generation at Designs by Skaffles, which produces a wide range of these looks.

Jewelry of all types promises sales, so long as it falls into these trends. However, necklaces are the strongest growth area. "We're thrilled with pendants--necklaces are very strong," says Nancie Samet, senior vice president of lifestyle merchandising for Delia's.

Pendants will continue to capture customers' attention, on beaded chokers and especially on suede cords, at 16-inch to 18-inch lengths. "In neckwear, the look is funky, chunky and long," says Jones.

In keeping with the naturalistic trends, key bracelets include cuffs made of leather and suede and multistone bracelets. "Cuffs are No. 1," adds Chorney.

The natural look also has enlivened the earrings business. Dramatic chandelier models, featuring cabochon and faceted stones, are in the swing of things into 2003, adding life to the assortments of ubiquitous hoops and posts that dominated sales the past decade.

"Chandeliers have performed well within the R.J. Graziano brand, at popular price points," notes Gatzke.

Also featuring large rocks, solitaire rings are ringing the registers, to a lesser degree than necks and bracelets.

"Rings are not as hot as other bodies, but we do have certain styles that are blowing out ... mostly single rings that are a little chunky," says Faham.

Specialty may be just a stone's throw away from another successful season.

RELATED ARTICLE: WHAT'S RINGING THE REGISTERS

TURQUOISE NECKLACES: These beaded, bohemian numbers are proving a true blue sales vehicle.

Accessorize: Accessorize Brand, $14.00

Claire's: Claire's Brand, $7.99

H&M: H&M Brand, $6.50

Express: Express Brand, $18.00

Prices taken from merchandise tags on Aug. 8, 2002.